Maximise your Avios, air miles and hotel points

The IHG credit cards are back – and with a sign-up bonus (Part 1)

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With a great sense of timing, just a day after I spent my Sunday evening writing an article on why there are few decent Visa and Mastercard products available, IHG Rewards Club has relaunched its two cards.

The new issuer is Creation Financial Services.  The name may not be familiar to you but they issue a number of co-branded and own-brand credit and store cards, including ASDA Money and Marriott.  The company is owned by French bank BNP Paribas.

The obvious question from existing cardholders will be:  Can I get these cards if I have the old Barclaycard ones?  The official answer from IHG yesterday is ‘yes’.

IHG also told me that the Barclaycard products will continue even though they are not available to new applicants.

The Creation benefits are virtually identical to the Barclaycard cards.  The only difference is that the card is now a Mastercard and not a Visa.  The benefits on the free card have actually improved as you now earn double points for foreign spend.  Given that we are now in the world of 0.3% interchange fees, I think we have done well here.

In terms of account servicing, note that Creation does NOT have an app where you can monitor your transactions.

The cards

There are two different versions of the card.  It isn’t clear if you are allowed to have both as the benefits overlap – one gives Gold status whilst the other gives Platinum.

The free version – IHG Rewards Club Mastercard

IHG Rewards Club credit card free

The headline features of this card are:

No annual fee

10,000 IHG Rewards Club points for joining and spending £200 in the first three months – these are worth about £40 of free hotel room or transferable to 2,000 Avios points or other airline miles

Gold status in IHG Rewards Club for as long as you hold the card.  You won’t get much, frankly, for being Gold – usually a few hundred bonus points or a free drink.  However, if you do a few Holiday Inn, Holiday Inn Express, Crowne Plaza or Indigo stays then it is certainly better than nothing.

1 IHG Rewards Club point per £1 spent.  I value IHG points at 0.4p so this is a 0.4% return.

2 IHG Rewards Club points per £1 when you pay at IHG hotels.  This would be roughly a 0.8% return which is good.

2 IHG Rewards Club points per £1 when you use the card abroad.  This is a new benefit – only the premium card got double points abroad under Barclaycard.  However, as the card has a 2.99% FX fee you would be better off using a card without FX fees instead.

Representative APR is 18.9% variable

There is a minimum income requirement of £10,000, although Creation stress that this cannot come from unemployment benefit!

It is important to note that points from day-to-day spend count towards elite status.  The sign-up bonus does NOT count towards elite status.

10,000 IHG Rewards Club points, on its own, won’t get you much apart from 2,000 airline miles.  A typical UK Holiday Inn in the regions would be 15,000 – 20,000 points.  The best use of the points would be to book two PointBreaks nights at 5,000 points each.  You can learn more about PointBreaks here.

According to the terms and conditions:  “If your IHG Rewards Club Credit Card account is closed within the first 6 months of opening, IHG reserves the right to deduct the 10,000 bonus Rewards points from your IHG Rewards Club account.”  As the card is free and you receive Gold status in IHG Rewards Club just for keeping it, this is unlikely to be an issue for anyone.

What do I think?

You should definitely think about getting this card, unless you would prefer the £99 Premium version.  10,000 IHG Rewards Club points are worth having, and Gold status is better than nothing.  With Creation as the issuer, it is unlikely to clash with any other card you hold

I am not necessarily saying that you should use it as your main card.  After all, you will get Gold status even if you keep the card in a drawer.

If you are tempted by this card, you should also consider the Hilton HHonors Visa cardMy review of that card is here.

The sign-up bonus on the Hilton card is substantially better – you get a free night (valid for 6 months, weekends only) at any Hilton family hotel.  This could be worth £250+ if used at a Conrad or Waldorf-Astoria property.  Of course, you can get the Hilton card just for the bonus and keep that in a drawer too!

The Hilton credit card is probably more generous (it gives 2 Hilton points per £1 which I value at 0.6p vs 0.4p for 1 IHG point).  That said, this new IHG card is more generous than almost all Avios non-Amex cards so it may come down to whether you prefer Hilton or IHG points.  The fact that IHG credit card points – except for the bonus – count towards status may swing it for you if you are chasing Spire or Platinum.

The application link for the free IHG Rewards Club credit card is here.

I spoke to IHG about the cards yesterday and I was told that there were no plans for any short-term higher bonuses and that such a bonus made no financial sense in the new 0.3% environment.  If you are interested in applying you might as well do it now.

There is NO refer-a-friend deal available for these cards so you might as well apply directly via the links above.

In my 2nd article today, I look at the £99 Premium version of the IHG Rewards Club credit card.  Is that a better deal?


Want to earn more points from credit cards? – February 2021 update

If you are looking to apply for a new credit or charge card, here are our February 2021 recommendations based on the current sign-up bonus

You can see our full directory of all UK cards which earn airline or hotel points here.

British Airways American Express card

British Airways American Express

5,000 Avios for signing up, no annual fee and a companion voucher for spending £20,000 Read our full review

BA Premium Plus American Express card BAPP

British Airways American Express Premium Plus

25,000 Avios and the UK’s most valuable credit card perk – the 2-4-1 companion voucher Read our full review

Nectar American Express

American Express Preferred Rewards Gold

Your best beginner’s card – 20,000 points, FREE for a year & two airport lounge passes Read our full review

American Express Platinum card Amex

The Platinum Card from American Express

30,000 points and an unbeatable set of travel benefits – for a fee Read our full review

Virgin Rewards Plus credit card

Virgin Atlantic Reward+ Mastercard

15,000 points bonus and the most generous non-Amex for day to day spending Read our full review

Earning miles and points from small business cards

If you are a sole trader or run a small company, you may also want to check out these:

Amex American Express Business Gold card

American Express Business Gold

50,000 points sign-up bonus – SPECIAL OFFER TO 9th APRIL – and free for a year Read our full review

Amex Platinum Business American Express

American Express Business Platinum

100,000 points sign-up bonus – SPECIAL OFFER TO 9th APRIL – and a long list of travel ….. Read our full review

British Airways Accelerating Business American Express card

British Airways Accelerating Business American Express

Earn both Avios and BA On Business points with your business spending Read our full review

Capital On Tap Business Rewards Visa

The most generous Avios Visa or Mastercard for a limited company Read our full review

Disclaimer: Head for Points is a journalistic website. Nothing here should be construed as financial advice, and it is your own responsibility to ensure that any product is right for your circumstances. Recommendations are based primarily on the ability to earn miles and points and do not consider interest rates, service levels or any impact on your credit history.  By recommending credit cards on this site, I am – technically – acting as a credit broker.  Robert Burgess, trading as Head for Points, is regulated and authorised by the Financial Conduct Authority to act as a credit broker.

Comments (46)

  • tangey says:

    Barclaycard can issue Amex cards ?

    • Rob says:

      Yes. But not for long, Amex is withdrawing. MBNA, Lloyds etc all losing Amex.

      • Alan says:

        That’s going to be such a blow to the Lloyds card – with the upgrade voucher, no forex fees, reasonable earning it’s a decent deal – if it all switches to the Mastercard earning rate it’s going to be a lot worse 🙁

      • M says:

        Wow. What would be the reason Raffles?

      • Mark says:

        Any chance you could expand on this?

        • Rob says:

          Word on the street, and I stress this is just gossip, is that Amex is cancelling its licensing deals with MBNA, Lloyds etc. These cards only existed because Amex paid higher interchange fees. As licensed Amex cards are caught by the 0.3% interchange fee cap, they are pointless for both sides. MBNA etc also wants to get rid of them because they are bleeding money – they cannot afford the higher mileage on the Amex cards from 0.3%.

          • Kathy says:

            Ugh! Does that mean existing cards would be cancelled? Would it be a good idea to apply for a Lloyds Avios card now?

  • Matt says:

    Is there a bonus every 5 years on this card?

  • trickster says:

    Wondering whether to apply for this or not. I have the current White card, having downgraded after a free year on the Black card several years ago, before the rebrand from Priority Club, and I never got my IHG account downgraded from Platinum to Gold.I suspect if I applied for the White MasterCard, It would trigger a status downgrade.

    Think I’ll just get my wife to apply for the White card instead, as she’s a lowly ‘Club’ member, and the bonus points would be a nice top up of her account that’s going to expire in a few months.

  • David says:

    Completely OT. Does anyone know if I can link my new Travelex Supercard to my Uber account to stop paying FX when abroad? I seem to link it easy enough but haven’t used it yet. Any help would be appreciated.

  • Gerard says:

    Apoogies for the OT post, but I’m trying to work out whether it’s worth my while cancelling my Clarity Rewards and going all in on a card like this new IHG one.

    • Fenny says:

      Keep the Clarity card for overseas spend, as if you go for the new IHG, you will be paying FX fees on it. I have a Halifax card purely for foreign spend.

      • Genghis says:

        Me too. I use Clarity for overseas ATM withdrawals and the Lloyds Amex / MC for overseas purchases. Seems like a good combo

  • BlueHorizonUK says:

    looks like the Barclaycard version (which is now closed) and not the Creation one.

  • Matt says:

    Me and my wife both have these Halifax Clarity Rewards credit cards that give £5 back each month you spend £300. Agree 1.66% straight back as cash must be the best earn rate on non amex CC and the least hassle free. Plus no fee on card.
    We always use them up to £300 each focuaing in places that dont take Amex and then use respective Amexes.
    Best thing is your foreign spend is converted at the best (MasterCard) rate and counts towards £300 threshold all the same making it 1.66% back on foreign spend!

    • harry says:

      Your £5/£300 would be £12/£300 for me = Avios @ 2 for £1 plus getting 2p value on flights

  • Brian says:

    Hi do you think the sign up bonus may be a temporary or permanent feature?

    I want to apply but was hoping to leave doing so until about October.

    Thanks

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